. American Honda Breaks Ground on New Midwestern
Consolidation Center in Troy, Ohio
$89 Million Investment
Will Create 110 New Jobs
TROY, Ohio - American
Honda Motor Co., Inc. broke ground today for a Midwestern Consolidation
Center in Troy, Ohio, which will expand the company's U.S. parts
distribution operations in the region. Ohio Governor Bob Taft and
local Troy elected officials joined Honda executives for the event.
The expansion is expected to create approximately 110 new full-time
jobs. The hub will replenish American Honda's nine other distribution
centers in the United States.
Honda's capital investment
in the new 58-acre Troy center will be approximately $89 million,
which includes investments of $64 million in personal property and
$25 million in construction. In addition to the domestic parts supplier
distribution hub, the center will also house a procurement operations
support office.
"The new Midwest
Consolidation Center is a vital part of American Honda's
belief in providing the highest level of service to our
valued customers," explains James Roach, senior vice president
of American Honda's Parts Division. "The consolidation center's
central location to Honda's other parts distribution centers
will enable the company to further enhance its timely distribution,
inventory management, deployment and logistics practices."
The new 530,000-square foot
(sq. ft.) facility will be located next to American Honda's current parts
distribution center, which has been operating in Troy since 1986. It will
include about 500,000 sq. ft. of warehouse distribution space and 30,000
sq. ft. of office space.
Construction of the project
is expected to begin in Fall 2006 and be completed by Fall 2007. As part
of Honda's commitment to environmental sustainability, the new Troy distribution
center will be designed and constructed utilizing environmentally friendly
products and materials. American Honda will work with the U.S. Green Building
Council to earn the organization's Leadership in Energy and Environmental
Design or LEED certification. The Troy facility would become American Honda's
fourth environmentally friendly facility in the United States.
American Honda currently employs
approximately 340 full-time associates at its existing Troy facility. Upon
the new facility's completion, 100 of the current procurement associates
will be relocated to the new parts distribution hub. The expansion of warehouse
operations creates about 110 new full-time warehouse positions with total
employment at the new facility expected to reach about 210.
American Honda's Parts Division
handles the marketing, purchasing, inventory and distribution of genuine
Honda parts for all Honda products.
